Pages

Friday, June 26, 2015

Market Summary -- 26th Jun 15

FTST STI closed 3,320.90, down 28.97 points or -0.86% with a total volume of 1.18b and a total value of S$926M. Total number of advance vs decline was 181 vs 256. Of the 30 component index stocks, 10 closed positive, 2 unchanged and 18 in the red. The top 5 gainer component stocks were :-

US markets ended lower of at least 0.3% yesterday. Asian bourses were in a sea of red with Nikkei 0.31%, SSE -7.38% and HSI -1.78%. STI fell 0.86% in thin volume and value with 10 of the 30 index stocks posted gain.

The deadlock in Greece's debt talk caused global markets on a sell down. SSE suffered the biggest one-day loss in 5-month falling more than 7% and in Japan despite inflation data coming in within expectation and data showing households start spending, the global negative sentiment still lead to a negative closing for Nikkei. Eyes will be on the next 2 days whether a deal could be reached in the Greece talk ahead of the end of the month IMF payment deadline. No solution means default and euro exit for Greece. However, should a deal be reached do not mean everything will be over as it may just kick the can down the road and months later when another payment due the whole problem will resurface again.

STI in line with regional markets fell 0.86% with bank and Jardine group of stocks weighing down the index. Most are just waiting at the sideline to see how the Greece issue going to resolve over the weekend before bargain hunting coming in. Deal or no deal, when there is bargain hunt opportunity, it is a bargain hunt opportunity. Global economy will not going to into a tailspin if Greece default.